Tashkent, Uzbekistan (UzDaily.com) -- Experts from the Institute of Macroeconomic and Regional Research (IMRI) analyzed the effectiveness of attracting investment in fixed assets, foreign direct investment and loans in the regions for January-December 2023.

Based on the use of the investment performance index (IPI - Investment Performance Index), an analysis was carried out that showed how much the volume of investments invested in the region corresponds to the region’s contribution to the development of the republic. If the policy of attracting investments for the sustainable development of the region is favorable, then the value of the norm is 1.00.

The volume of investments in fixed capital in Uzbekistan reached 352.1 trillion soum in January-December 2023, which is 22.1% more than in the same period last year. The volume of foreign direct investment and loans during this period increased by 58.9% and amounted to 167.7 trillion soums

However, differences remain in the distribution of investment across regions. For example, in terms of the volume of investments in fixed assets, the difference between the indicators for the three regions with the highest and lowest inflows in the republic for January-December 2023 was almost 3.7 times, and for foreign direct investments and loans - 2.9 times.

Calculation of the IPI index based on data for January-December 2023 gave the following results:

- for investments in fixed capital, in most regions, index values were recorded above the standard indicator; in this regard, Syrdarya (2.16) and Bukhara (1.78) regions stand out. The reasons may be the formation of new opportunities for investors, as well as the temporary effect of the implementation of strategically important megaprojects.

In Khorezm (0.99) and Navoi (0.96) regions, values close to the norm were recorded;

- for foreign direct investment and loans, an indicator corresponding to the norm was recorded in Andijan (1.00) region, while in the Syrdarya (3.69) and Bukhara (2.20) regions the index value is significantly higher than the norm. Higher IPI values indicate potential for more efficient use of foreign investment flowing into the regions;

- for the city of Tashkent (0.60), the index value is significantly lower than 1.00. This shows that more attention needs to be paid to attracting foreign investment to the region.

Comparison of the current calculation of the IPI index with the results for 9 months of 2023 allows to draw the following conclusions:

- there is an improvement in the index of investment in fixed assets in Khorezm (0.14 points) and Samarkand (0.11 points) regions;

- according to the IPI index of foreign direct investment and loans, Syrdarya (0.24 points) and Andijan (0.20 points) regions showed the best values compared to other regions.

It should be noted that the IPI index analyzes quantitative indicators of investments at the regional level, and does not take into account issues of investment quality.